Europe Real Estate Outlook 2017

Expect a year of political uncertainty and the challenge of rising interest rates in Europe in 2017

Politics aside, however, the gradual tightening of some occupier markets seen in 2016 will continue in 2017, especially for better properties in the better locations

Despite a gradual turnaround in the long-term interest rate trend, there is still scope for further yield compression in prime assets as rental growth and low interest rates by historical standards continues to make property look attractive

2018 or 2019, rather than 2017 are likely to be the years when the yield cycle starts to turn